Since 2007, Dominion Energy has spent nearly $30 billion to improve our production, storage and delivery systems, increasing the dependability of the energy flowing to our customers. We will continue investing up to $4.2 billion annually through the middle of the next decade to provide cleaner energy to our customers over a more robust, secure system of natural gas and electric wires.
To construct infrastructure to produce and deliver energy, with a special emphasis on renewable energy projects such as solar generation and offshore wind, smart-grid technology and to continue providing low-carbon natural gas and carbon-free nuclear energy.
How We Performed:
In April, 2018, we brought online the Cove Point liquefaction project in Maryland, which will export natural gas to Japan and India, where it will replace the use of other high-carbon fuels. In August, we sought permission to construct a pilot offshore wind project in the Atlantic. We are investing up to $4.2 billion annually through the middle of the next decade to provide cleaner energy to our customers over a more robust, secure system of natural gas pipelines and electric wires. And we have begun construction of the 600-mile Atlantic Coast Pipeline in parts of West Virginia and North Carolina to bring American natural gas to people and businesses in new markets that need more of it to support growing populations and economies, to replace higher-carbon fuels and to support intermittent renewable energy from solar and wind.
|We plan to begin construction of the 600-mile Atlantic Coast Pipeline, fully operationalize the Cove Point liquefaction project in Maryland, pursue re-licensing of our carbon-free nuclear fleet and continue investing in renewable energy. We plan to rebuild 120 miles of electric transmission lines.||In April, 2018, we brought online the Cove Point liquefaction project in Maryland. In August, we sought permission to construct a pilot offshore wind project in the Atlantic.
We are investing up to $4.2 billion annually through the middle of the next decade to provide cleaner energy to our customers over a more robust, secure system of natural gas pipelines and electric wires.
And we have begun construction of the 600-mile Atlantic Coast Pipeline in parts of West Virginia and North Carolina to bring American natural gas to people and businesses in new markets that need more of it to support growing populations and economies, to replace higher-carbon fuels and to support intermittent renewable energy from solar and wind. In October 2018 we submitted an application to renew the license for Surry Power Station and are working to submit a similar application for North Anna Power Station in 2020. As of mid-year 101 miles of transmission lines have been rebuilt.
Where We’re Headed:
We will begin construction of the 600-mile Atlantic Coast Pipeline, re-license our carbon-free nuclear fleet, rebuild 120 miles of electric transmission lines, and continue investing in renewable energy. Through the Virginia Grid Transformation & Security Act, we will harden our electric grid and modernize it with smart-energy technology.
Dominion Energy is seeking concurrence from the State Corporation Commission of Virginia with the infrastructure programs including the deployment of 2.1 million smart meters to streamline integration of renewables while ensuring safe, secure and reliable service to customers.
We intend to continue to enhance reliability and resiliency in 2019 by placing approximately 260-290 miles of the most outage-prone overhead distribution tap lines underground.
We anticipate continuing construction of the Atlantic Coast Pipeline to provide reliable natural gas to the region and pursue license extensions for our carbon-free nuclear fleet.
To ensure reliability, we plan to rebuild 90 miles of electric transmission line in 2019.
Our approach is exemplified by projects like the $1.2 billion, 1,376-megwawatt Brunswick Power Station that entered service in 2016. It quickly became one of the workhorses of the Dominion Energy stable, and will help limit greenhouse-gas emissions.
We are also building state-of-the-art natural-gas pipelines and compressor stations that help pressurize and move gas to customers with fewer emissions that contribute to climate change. Much of Dominion Energy’s new and planned gas infrastructure provides our customers, gas utilities and power producers a clean, reliable source of energy that both serves their needs and meets environmental goals.
In April, 2018, we brought online the Cove Point liquefaction project in Lusby, Maryland, which has long-term contracts to ship liquefied American natural gas to Japan and India – helping the latter, in particular, reduce its emissions of greenhouse gases.
We are continuing work to complete the 600-mile Atlantic Coast Pipeline, re-license our carbon-free nuclear fleet, rebuild 120 miles of electric transmission lines, and continue investing in renewable energy.
In 2017, we opened a new Systems Operation Center to enable safe, reliable and continuous operation of the electric transmission grid across Virginia and North Carolina.
We have invested $3.5 billion in renewable generation over the past five years, creating more than 10,000 construction jobs, and we expect to invest $4 billion over the next decade.
Natural Gas: A Cleaner Source of Energy
Atlantic Coast Pipeline
In late 2019, the 600-mile Atlantic Coast Pipeline is expected to begin transporting natural gas to electric and gas utilities for key segments. For a region facing pipeline constraints, economic challenges, and the ongoing transition to cleaner energy, the project is essential to the energy security, economic vitality and environmental health of the region.
The new infrastructure of the ACP would draw from low-cost supply basins, including the Appalachians, thereby enhancing the reliability of electric and gas utility service and significantly lowering costs for consumers. It also would help alleviate constraints and expand access to gas in underserved communities, and attract manufacturing and other new industries — building a foundation for long-term job creation and economic growth. In fact, the ACP is expected to create 17,240 jobs during construction and support thousands more with new industries.
Electric utilities in the region also are replacing conventional power plants with efficient, cleaner-burning units. The pipeline would support this ongoing transition to cleaner energy, lowering emissions and promoting cleaner air across the region. Natural gas is an ideal partner for renewable energy, providing around-the-clock backup power.
A project of this scope must be sustainable over the long term – for Dominion Energy, for consumers and for communities and the environment. So the ACP will employ an industry-leading, best-in-class program for construction, emissions controls and methane-reduction measures. Other precautions include:
- a program to avoid landslides on steep slopes;
- X-ray inspection of every single weld;
- hydrostatic pressure tests prior to operation;
- 24/7/365 monitoring from Dominion Energy’s gas control center; and
- remote-controlled shutoff valves.
In 2014, construction began on a $4 billion facility to liquefy natural gas at Dominion Energy’s Cove Point on the western shore of the Chesapeake Bay. The liquefaction process involves super-cooling gas to shrink it to 1/600th of its original volume so that it can be piped to a pier a mile offshore and loaded onto supertankers for distribution to American allies around the world.
Cove Point’s footprint has not expanded to accommodate the project, and the project maintains a surrounding nature preserve. It also uses only pre-existing storage tanks, pipelines and the offshore pier.
In addition to the nearly 3,000 construction jobs created when Cove Point was built, the project also has produced nearly 100 permanent jobs at the site and is expected to contribute $40 million in new annual revenue to Calvert County, Maryland – nearly 13 percent of the county’s total expected revenue in 2020.
Besides shoring up the economic sustainability of the immediate region, Cove Point also contributes to the environmental sustainability of energy production worldwide. Cove Point is providing American allies in Japan and India with a new source of natural gas for the next two decades or more. This can help these countries reduce their carbon footprint while improving the reliability of their gas and electric utilities. In recent years India has pursued an ambitious program of rural electrification. Despite those efforts, rural areas still face considerable challenges with regard to both quality and reliability – a problem that disproportionately affects impoverished populations. LNG from Cove Point can help alleviate that disparity.
Greensville Power Station
Finished in December, 2018, the $1.3 billion, 1,588-megawatt combined-cycle natural gas station in Greensville, Va., operates as one of the largest and most environmentally friendly generating facilities of its kind in the world. The station’s air permit is the most stringent in the nation in terms of carbon dioxide emissions, according to the Virginia Department of Environmental Quality. Construction at the station created more than 1,000 jobs and it supports about 166 jobs, including 49 full-time employees.
In its first year of operation, the station is expected to provide as much as $8 million in property taxes for Greensville County, near the North Carolina border in Virginia’s rural Southside region. The station will have low carbon intensity because it uses clean-burning natural gas, combined-cycle technology and the best available control technology to reduce emissions. It also will use less water, minimizing the impact to rivers and streams.
Dominion Energy Virginia has notified the federal Nuclear Regulatory Commission of its intent to relicense the Surry and North Anna power stations for additional 20-year terms, ensuring that Virginia customers will continue to benefit from the safe, reliable and carbon-free electricity the stations produce for decades to come. We filed the Surry application in October of 2018 and expect to file the North Anna application in 2020.
Our nuclear power stations have proven to be among the most efficient and most reliable sources of electricity in our fleet. The operation of North Anna and Surry directly supports more than 2,000 high-paying jobs in Virginia and produces additional economic and tax benefits. Their continued operation will go a long way toward maintaining low carbon-emission rates in the commonwealth.
The company expects to invest up to $3.5 billion in upgrades as part of the re-licensing process. Like all U.S. nuclear units, the North Anna and Surry units were originally licensed to operate for 40 years. In 2003, licenses for all four units were renewed for 20 additional years of operation, following a stringent review process required by federal law. An additional extension would extend carbon-free energy until the 2050s. Extending the life of our nuclear stations rather than mothballing them and building new ones conserves natural space and natural resources and enables these units to continue to provide carbon free generation.
Looking to the Future
The power grid is a critical component of public infrastructure vital to the safety, comfort, and prosperity of the public.
We are taking steps to make it even stronger. We expect that the reliability and resiliency improvements of the smart energy grid will result in fewer power outages and a faster response to those that do occur. It also means a grid that can be even more environmentally friendly: Our customers will have the flexibility to choose clean, renewable energy like solar and wind, thereby exercising greater control over their own carbon footprint.
This translates to an overall improvement in the customer experience. A smart energy grid will provide customers with new tools to access timely, accurate information about their energy use, and create additional pricing options and service enhancements.
In 2018, Virginia passed the Grid Transformation & Security Act; the law went into effect in July. Dominion Energy supported this landmark legislation alongside a broad spectrum of environmental, consumer and business groups during the 2018 General Assembly.
In addition to declaring 5,000 megawatts of additional solar generation to be in the public interest, the law also directs utilities to submit proposals for revamping our electric system to meet modern standards. Dominion Energy’s plan includes self-healing grid technology that can predict and prevent outages before they occur, isolate them when they do, and restore power more quickly.
Our plan includes placing more outage-prone power lines underground to improve system reliability. And it entails a vast expansion of energy conservation, equivalent to $870 million in such programs over the next decade. Energy conservation promotes sustainability in two ways: by reducing the amount of natural resources consumers use, and by reducing the strain on the power grid, especially during peak-usage hours, thereby lowering the risk of outages.
We are also seeking concurrence from the Virginia State Corporation Commission on:
- Increasing comprehensive customer insights and consumer availability of energy usage data;
- Establishing remote capabilities and reducing the number of truck rolls and the amount of overall time to complete service orders;
- Improving outage and restoration-management capabilities, including proactive customer communications; and
- Focusing on opportunities to increase access to electric-vehicle charging infrastructure.